Those of you who have browsed the internet in order to find more information about forex trading as part of your educational quest may have come across an increase of threads and posts by other new traders who ask questions about certain things they have observed such as a divergence or specific candlestick formation and then wonder if they should go ahead and trade it. Discovering those things is a good first step in sharpening your trading skills. Is one trading signal sufficient? No, trading based on just one trading signal, bullish or...
The US Dollar sold off during yesterday’s trading session after the US Federal Reserve kept interest rates on hold as expected, but the press conference by US Fed Chief Janet Yellen was the driving force behind a much lower US Dollar. Forex traders should be careful as the sell-off which started yesterday may continue throughout the trading week as more economic data out of the US will be released and expectations are lofty especially given the weaker data reported over the past few trading weeks. The US Dollar rallied sharply as the majority...
When you conduct you research on different account types you will see that there are quite a few to choose from and every broker has a range of different account types which forex traders can pick from. Many new forex traders simply pick the biggest account available and do not send more time on selecting the right trading account for them and their deposit size. This is a very big mistake as there is a reason why more than one account type is offered. Trading in the right account type can increase the performance of your forex portfolio and...
The USDJPY is trading well above 120.000 as this currency pair rallied strongly, but what does a rally actually mean? A currency pair is made up, as the name suggests, from two different currencies which are paired against each other. In the case of the USDJPY it is the US Dollar against the Japanese Yen. The first currency is referred to as the base currency so in our example the US Dollar is the base currency. The second currency is called the quote currency and in this case the Japanese Yen is the quote currency. What does the USDJPY at...
Picking the right forex trading strategy is key to earning consistent profits from the forex market and there are plenty of different factors which go into creating the right trading strategy. As you start to research into forex trading strategies you will discover that there are many strategies out there which can all be profitable. It is important to select or create one which fits your own trading style as any strategy can be wrong if it is not suitable for the individual trader. One of the components for a successful trading strategy is...
